SAN DIEGO, May 16, 2023 (GLOBE NEWSWIRE) — Robbins LLP is reminding investors that a shareholder has filed a class action lawsuit on behalf of all individuals and entities that purchased Telephone and Data Systems, Inc. TDS TDS-PV, TDS-PU))) Securities between May 6, 2022 and November 3, 2022. Telephone and Data Systems, Inc. is a diversified telecommunications company.

For more information please send an shape, E-mail Aaron Dumas, Jr. or call us at (800) 350-6003.

What is it about in this case: Telephone and Data Systems, Inc. (TDS) has misled investors about its subsidiaries’ ability to retain customers

According to the complaint, United States Cellular (USCellular) is a majority owned subsidiary of TDS. During the teaching period, USCellular struggled with a systematic loss of “postpaid” customers. In response, the defendants cited USCellular’s alleged ability to counter churn and attrition of postpaid customers through tailored promotions and alleged cost discipline. Regardless, USCellular’s churn rate continued to deteriorate and the company’s promotional activities hurt its profitability.

On November 4, 2022, Defendants reported third quarter 2022 operating results. Defendants’ corrective disclosures found that not only was USCellular’s extensive promotional activities still unable to correct its postpaid churn rate, but that the “supply structure” and its lack of “cost discipline” had actually significantly impacted the company’s profitability. As a result of this news, the price of TDS securities plummeted. The price of TDS common shares decreased $4.29 per share (more than 25%) from a closing price of $16.57 per share on November 3, 2022 to a closing price of $12.28 per share on November 4, 2022. TDS preferred stock, trading under the symbol TDS-PV, decreased $0.96 per preferred share (more than 5%) from a closing price of $17.20 per preferred share on November 3. November 2022 to a closing price of $16.24 on November 4, 2022. TDS preferred stock trades under the symbol TDS. PU also declined $1.01 per preference…